Fueled up: how energy became the must-have benefit in functional beverages

From vitamin-enriched waters to energy-boosting teas, functional beverages have surged in popularity among consumers seeking more than just hydration from their drinks. But one benefit stands out above all others: energy.

In our latest research with 2,000 working-age consumers across the US and UK, energy emerged as the dominant driver behind functional beverage purchases. But it’s not just about the buzz. Consumers are also prioritising taste, low sugar content, and scientific backing, meaning brands need to deliver on multiple fronts to win loyalty in this fast-evolving category.

Quick summary

• 56% of US and 55% of UK consumers regularly purchase functional beverages.
• Energy is the top functional benefit in both markets, chosen by 60% in the US and 56% in the UK.
• 92% of US and UK consumers say taste is important – making it the most decisive purchase factor.
• 73% of US and 81% of UK consumers want clinical research to back functional claims.
• Sugar content matters more with age: 72% of older US consumers and 83% of regular UK consumers prioritise low/no sugar.
• Only 56% of US and 60% of UK consumers consider sustainability important, making it the lowest-rated factor.

US results

Functional drinks go mainstream

Functional beverages have become a staple in American shopping baskets. A significant 83% of US respondents say they consume these drinks at least sometimes, and over half (56%) do so ‘often’ or ‘very often’. Younger consumers and men are particularly engaged, with energy emerging as the dominant driver. Among regular consumers, 67% look for energy-boosting options, followed by sports performance at 39%. This preference aligns closely with gender: 67% of men prioritise energy, compared to 53% of women, while men also show stronger interest in sports performance (43%) [view US survey dashboard].

Age also shapes preferences. Consumers aged 31-49 are the most likely to value energy benefits (68%), while cognitive health matters more to this group than to younger or older cohorts. Women show higher interest in beauty, body support, and weight management. Overall, energy is the functional attribute with the broadest appeal, acting as a key entry point for brands to connect with consumers across age and gender.

Taste, sugar, and science: the decision trifecta

Despite the focus on function, US consumers won’t compromise on flavor. Taste is the top priority, with 90% of respondents saying it’s important or very important when choosing a functional beverage. Among frequent buyers, this rises to 92%. Taste outranks even price (82%) and low/no sugar content (64%) in importance, showing that sensory satisfaction remains critical to success.

Health concerns also play a central role. Sugar content becomes increasingly important with age: 72% of those aged 50-67 consider low or no sugar important, versus just 53% of 18-30s. Meanwhile, 34% of younger consumers are indifferent to sugar levels, suggesting that functional benefit still outweighs dietary concerns for this group.

Another key factor is trust. Consumers want proof that functional claims hold up. Across all US respondents, 73% say clinical research backing is important, rising to 78% among regular consumers. The middle age group is especially science-driven, with 36% rating clinical evidence as “very important.” For brands, substantiating claims with research could significantly improve trial and loyalty.

Price and sustainability: still in the picture

Price is the second most important factor after taste, with 82% of US consumers citing it as important or very important. Even regular buyers, despite their higher engagement, remain price-conscious: 83% say cost influences their purchase decisions. This indicates a strong need for perceived value, even in premium-positioned products.

Sustainability, on the other hand, lags behind. Only 56% of respondents rate eco-consciousness as important, and nearly a third are neutral on the topic. Among frequent buyers, interest in sustainability rises slightly to 64%, but it still trails far behind other considerations like taste, function, and price. Notably, the 31-49 age group is the most eco-conscious, while older consumers (50-67) are the least concerned about environmental factors.

The takeaway? Functional beverage brands in the US must deliver on energy and taste, support claims with science, and remain competitively priced. While sustainability isn’t a leading driver yet, it may be a useful differentiator for targeting specific consumer segments.

UK results

Strong demand across the board

Functional beverages are firmly embedded in UK shopping habits. A hefty 85% of UK respondents say they purchase these drinks at least occasionally, with 21% doing so ‘very often’ and 34% ‘often’. Younger consumers are the category’s power users: 67% of 18-30 year olds consume functional beverages frequently, compared to just 36% of those aged 50-67 [view UK survey dashboard].

Energy is the leading functional benefit, chosen by 56% of all UK consumers and 60% of regular buyers. It’s especially popular with the youngest age group, where 66% cite it as their top functional need. Older consumers (50-67) prioritise digestive health (44%) and immune support (38%) more than energy (48%), highlighting an opportunity for brands to tailor benefit-led messaging by age group.

Gender splits also emerge: men lean towards energy and sports performance (38%), while women favour beauty and body support (24%) and immune support (40%). Overall, functional beverages are viewed as something that can play a role in a healthy lifestyle, with most UK consumers interested in obtaining benefits from their drinks.

Flavour-first, but health-conscious

UK consumers may be looking for benefits, but taste remains their primary motivator. A massive 92% say taste is important or very important, and more than half (51%) rate it as “very important”. Among regular consumers, this figure rises to 97%, showing just how vital palatability is to product success.

Price is the next most important factor, with 86% of all respondents rating it as important. However, the link between value and health is clear: 75% of UK consumers prioritise low/no sugar options, and 83% of frequent buyers say sugar content plays a key role in their decision-making.

Scientific validation also matters. 81% of all UK consumers want to see clinical backing for functional claims, and this rises to 84% among regular drinkers. Millennial and younger Gen X consumers are especially motivated by research, with 36% of 31-49 year olds saying it’s “very important.” This mirrors US trends and points to a growing desire for evidence-led products in the UK market.

Innovation welcomed, sustainability secondary

UK consumers are open to trying new products, especially younger ones. An impressive 86% of 18-30 year olds say they are likely or very likely to try new functional drinks, compared to just 69% of those aged 50-67. Among frequent buyers, 93% say they would try something new if it offered a functional benefit they want. This appetite for innovation signals clear opportunities for brands to expand product ranges or experiment with novel ingredients.

Yet, as with US consumers, sustainability trails other concerns. Only 60% of UK respondents consider eco-consciousness important, making it the least valued of all purchase factors. However, interest is higher among regular buyers of functional beverages: 70% rate sustainability as important, while 21% are neutral and 9% say it doesn’t matter. Younger consumers are the most sustainability-minded, while older shoppers remain the most disengaged on this front.

For UK brands, the formula for success involves energy-led innovation, clean ingredient lists, competitive pricing, and exceptional taste. Sustainability may still be a secondary concern, but for certain segments, it can offer an added edge.

What this means for drinks brands

While energy remains the most in-demand functional attribute, this research shows there’s growing interest in benefits tied to digestive, immune, and cognitive health. This offers plenty of scope for innovation, but brands that lead with benefits must also back them with science. Consumers increasingly see clinical evidence as essential.

Taste is non-negotiable. Even the most beneficial beverage will fall flat if the flavor doesn’t appeal. Product development must therefore prioritise palatability alongside performance. Pricing, too, remains a sensitive area. While many functional drinks carry a premium, consumers still expect value. Clear communication of benefits and product quality can help justify higher price points.

It’s also important to remember that different age groups want different things. Younger consumers are more adventurous and open to new products, while older consumers are more discerning and driven by specific health outcomes, so brands should segment their marketing and product lines accordingly.